This may be a little controversial and might make you a little uncomfortable. But it could also put a lot more money into your pocket during your lifetime. You see, when it comes to real estate investing I always believe in “going for blood.”
What I mean by that, is when doing a deal I always go for as much as possible. I always try and get a seller to pay all the closing costs. If the property is rented, I always try to get them to pay the mortgage before a deal closes, while allowing me to keep the rent.
And if I’m buying a property from a wholesaler I’ll try and pay them a $500 wholesaling fee (which I just did on a recent deal) instead of the $5,000-$10,000 that most people command.
I know a lot of you may say, “but what if the person doesn’t have money, or what if they’re almost broke.” Well, if that’s the case, all they can say is ‘no’. But if they want to pay all closing costs, who am I to stop them.
For example, awhile back I went to Greece.
When you’re in Greece almost everything is negotiable. I was shopping for a plate for a friend and kept going back and forth with the vendor until I was able to get the $10 plate for $2.
And the way I see it, if the guy wants to sell me the plate for $2, then of course I’m going to allow him to. It’s not like I put a gun to his head or anything. However, for some reason Americans just aren’t comfortable trying to push the envelope as much as they can.
If I could add up all the money I’ve saved (and made) during my negotiations I’m sure it’s hundreds of thousands and maybe millions of dollars over the years. It’s the #1 reason that I’m able to do so many no-money down deals because I make that my goal in every deal that I go into.
If you’re new to real estate or aren’t comfortable with negotiating I encourage you to read books by Roger Dawson. Also, George Ross (Trump’s guy) wrote a pretty good book on the subject too.
If you start to “go for blood” and negotiate on every aspect of your deal, you’ll quickly learn a lifelong skill, which will not only make you a lot of money in real estate but will serve you well in all aspects of your life.
And remember, if you want to be rich, you can’t be timid.